New Gold Zone Encountered in Deeper Drilling Target at Parbec Project
Exciting assay results continue to be reported by Renforth Resources Inc. (CA:RFR – $0.10 & US:RFHRF – $0.08 & GER:9RR – €0.06) for its Parbec project. This week the results were presented for the deeper core samples from one drill hole. However, it was a very good addition to the news flow nonetheless.
Hole PAR-21-127 was targeted for infill drilling work. Only one previous drill hole investigated this section, which was completed several years ago and encountered relatively low gold values. However, the deeper extension of PAR-21-127 provided a positive surprise. A new gold zone was encountered across a wide interval of 18.75m bearing an average grade of 4.59 g/t. A higher grade interval of 7.15m within this section was mineralized with an average of 8.73 g/t gold. And an even higher grade interval of 15.76 g/t gold was isolated within a narrower portion of the core. These exceptional gold values provide a glimpse of the potential for higher grade gold further to depth. The mineralized zone was located at a depth of about 200m and below the interpreted pit shell for the deposit.
Renforth completed three drill holes in this section during the current program. Hole PAR-20-106 was punched late last year into this section of the deposit, intercepting gold mineralization under the interval in PAR-21-127 and also higher in the hole. This mineralization is also under PAR-21-127, within the first 148m of the hole, assays are still pending for this area and may confirm that shallow gold zone as well. Drill Hole PAR-21-142 was aligned in close proximity and shallower, it may therefore encounter similar gold values when the analysis is eventually completed for that hole. Expectations for this pending assay data are therefore much higher to confirm the exceptional results.
Wider Intervals of Gold Mineralization Commonly Achieved in Recent Drilling Work
One of the most promising aspects to the most recent exploration work is the frequency that wider gold intervals have been encountered. It’s clear that the decision to advance a much more extensive drilling effort is paying off.
The program has delivered several broadly mineralized sections that build resource clout for the deposit. Wider gold intervals, many of which are also enriched with grades well above the average of previously known gold zones, will contribute to a much larger resource when this data is incorporated into an updated gold resource estimate later this year. Last week, Renforth reported an interval extending more than 14m with an average grade of 2.15g/t gold in PAR-21-130. Within this section, a 2m interval was found to contain 6.69 g/t gold. The drill hole also confirmed historic drilling work from 1993.
The alignment of PAR-21-130 was notable in that it passed in close proximity to several other drill holes and each of these achieved a higher grade gold section at a zone about 75m below the surface. Another recently completed drill hole PAR-21-128 was designed to undercut all of this drilling. Again, results are eagerly anticipated for this hole given the positive values reported from this part of the deposit so far.
While much of the drilling results are still unknown, the trend is extremely positive given that so many of the recently reported drill holes have indeed generated much wider mineralized zones. These previously reported highlight numbers include sections of 21.45m bearing 5.57 g/t gold in PAR-20-112 and 49.6m with an average of 1.46 g/t gold in PAR-20-116.
PAR-21-127 was the first drill hole completed during the second phase of the program that commenced earlier this year. In the past it was not unusual to have assay results from a lab within six weeks. The current lag time is now in the range of four months. This is a frustrating aspect that all explorers must deal with. Renforth completed the most ambitious drilling program in the history of the Company at Parbec. The story is now down to waiting and receiving results in small batches.
The outlook for a significant increase to the gold ounces defined for Parbec is supported by the steady stream of positive assay results. Wider sections of mineralization, often with higher gold grades than have previously been encountered, are contributing to establish a more cohesive deposit for a potential open pit mining scenario.
The priority is to build the resources within the interpreted open pit shell, but limited drilling has also been directed to test the potential further to depth below this area. Also these results have been very encouraging so far, including the high grade sections reported this week. This supports the potential that a higher grade gold deposit extends deeper into the Cadillac Break. There are several established gold mines in close proximity to Parbec that have also demonstrated exceptional gold grades in the deeper section of the deposits.
Parbec is one of the most exciting exploration projects underway in Quebec. The continual expansion of the defined gold deposit is building shareholder value. However, once all of the assay results are in hand the next stage will be to complete an update for the compliant gold resource estimate. This may lead to a high-value transaction to vend the project to a larger mining company. Smallcaps Recommendation: BUY.
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